Everton penalized with a 10-point deduction for breaking financial rules
In recent news, Everton has been docked 10 points for a breach of the Premier League’s profitability and sustainability rules (PSR) for the season ending 2021-22. This comes as a significant blow to the club, as it will see them drop from 14th place into the relegation zone.
An independent commission imposed the immediate deduction, and the club has expressed its intention to appeal the decision, citing it as unjust. The Premier League had issued a complaint against Everton and referred the case to the independent commission earlier this year.
The Commission determined that Everton FC’s PSR Calculation for the relevant period resulted in a loss of £124.5 million ($154.7m), exceeding the threshold of £105m permitted under the PSRs. This action was taken as Everton’s most recent figures showed a fifth straight year of losses, with their total loss over that period amounting to over £430m.
The club maintains that it has been open and transparent in the information it has provided to the Premier League and has always respected the integrity of the process. It does not recognize the finding that it failed to act with the utmost good faith and believes the sanction to be “wholly disproportionate and unjust.”
Furthermore, the club will monitor with great interest the decisions made in any other cases concerning the Premier League’s Profit and Sustainability Rules, indicating that they are not the only club under scrutiny for financial breaches.
This development has significant implications for Everton and raises important questions about financial regulations in football. As the club looks to appeal the decision, the outcome of this case will be closely watched by football fans and the wider sporting community.
On November 17, 2023, at 07:31 AM ET, Everton FC was handed a 10-point deduction by the Premier League for a violation of the league’s profitability and sustainability rules (PSR) for the 2021-22 season. Consequently, Everton will drop to the relegation zone, just above Burnley on goal difference. The club has expressed its intention to appeal the decision, asserting that it is unjust.
The Premier League had raised a complaint against Everton earlier in the year and subsequently referred the case to an independent commission. The commission determined that Everton FC’s PSR Calculation for the relevant period resulted in a loss of £124.5 million ($154.7m), exceeding the permissible threshold of £105m under the PSRs. This marked Everton’s fifth consecutive year of losses, totaling over £430m during that period.
In response to the sanction, Everton has deemed it “wholly disproportionate and unjust” and has announced its plan to appeal the decision to the Premier League. The club contends that it has been transparent and respectful of the league’s process, and does not recognize the finding that it failed to act in good faith. In addition, Everton has highlighted the ongoing case concerning Manchester City’s alleged breaches of finance rules, expressing an interest in the decisions made in such cases.
The club will await further developments in the appeal process and continue to monitor similar cases related to the Premier League’s Profit and Sustainability Rules.
